Capital Gains Tax Calculator

Calculate capital gains tax on property and investment sales. Get accurate estimates for long-term vs short-term rates, primary residence exemptions, and net proceeds after tax.

Investment Details

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Capital improvements that add to your basis

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Realtor fees, closing costs, etc.

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For determining tax bracket

Tax Calculation

Enter your investment details to calculate capital gains tax and net proceeds.

How to Use the Capital Gains Calculator

  1. Enter Purchase Price: Input the original cost of your investment or property
  2. Enter Sale Price: Input the amount you sold the asset for
  3. Set Purchase & Sale Dates: These determine if gains qualify as long-term (>1 year)
  4. Add Improvements: Include capital improvements that increase your basis
  5. Include Selling Costs: Add realtor fees, closing costs, and other selling expenses
  6. Enter Your Income: Used to determine your tax bracket and applicable rates
  7. Select Filing Status: Single or married filing jointly affects tax thresholds
  8. Primary Residence: Check if this was your main home for 2+ years for potential exemption

Capital Gains Tax Rates (2024)

Long-Term Capital Gains (>1 year)

Single Filers

$0 - $47,0250%
$47,026 - $518,90015%
$518,901+20%

Married Filing Jointly

$0 - $94,0500%
$94,051 - $583,75015%
$583,751+20%

Short-Term Capital Gains (≤1 year)

Taxed as ordinary income at your marginal tax rate (10% to 37% for 2024)

10% bracketUp to $11,000
12% bracket$11,001 - $44,725
22% bracket$44,726 - $95,375
24% bracket$95,376 - $182,050
32% bracket$182,051 - $231,250
35% bracket$231,251 - $578,125
37% bracket$578,126+

Primary Residence Capital Gains Exemption

Section 121 Exclusion

If you sell your primary residence, you may qualify to exclude up to $250,000 (single) or $500,000 (married filing jointly) of capital gains from federal taxes.

Qualification Requirements

Owned the home for at least 2 years
Lived in the home as primary residence for at least 2 years
Haven't used this exclusion in the past 2 years
The 2 years don't have to be consecutive

Exemption Amounts

Single Taxpayers$250,000
Married Filing Jointly$500,000

Any gains above these amounts are subject to capital gains tax

Net Investment Income Tax (NIIT)

High-income taxpayers may owe an additional 3.8% Net Investment Income Tax on capital gains from investments (not primary residence sales).

NIIT Applies When:

• Modified AGI exceeds thresholds:
- Single: $200,000
- Married: $250,000
• Investment income (not primary residence)
• Additional 3.8% tax on gains

NIIT Exemptions:

• Primary residence sales (with Section 121)
• Income below thresholds
• Retirement account distributions
• Municipal bond interest

Frequently Asked Questions

What's the difference between long-term and short-term capital gains?

Long-term capital gains apply to assets held for more than one year and are taxed at preferential rates (0%, 15%, or 20%). Short-term gains (assets held one year or less) are taxed as ordinary income at your marginal tax rate.

How do I calculate my adjusted basis?

Your adjusted basis equals your original purchase price plus capital improvements (renovations that add value, extend useful life, or adapt property to new use) minus any depreciation claimed.

Can I offset capital gains with capital losses?

Yes, capital losses can offset capital gains dollar-for-dollar. If losses exceed gains, you can deduct up to $3,000 per year against ordinary income, with remaining losses carried forward to future years.

When do I owe capital gains tax?

Capital gains tax is owed in the year you sell the asset (realize the gain), not when the asset increases in value. You report gains and losses on Schedule D of your tax return.

Are there ways to minimize capital gains tax?

Strategies include holding assets for more than one year, tax-loss harvesting, using installment sales, contributing appreciated assets to charity, and for real estate, using 1031 like-kind exchanges.